No. of Recommendations: 12
Dear EconomyTracker,

Please allow me to give you some friendly advice on how to better avoid getting mocked on this board.

#1) Be sure to write what you mean and mean what you write. My fiancee and I get into our biggest arguements because I cannot read her mind and she expects me to know exactly what she's thinking, as she's thinking it. We're both getting better - she at telling me what's on her mind, and I at figuring out what she really means, but we've had almost three years together to figure each other out. If I'm so stupid that I can't read the mind of the woman I've spent so much time with and expect to spend the rest of my life with, then I'm definately too dumb to read yours, a person I've never met and with whom the only contact I've had has been electronic bits and bytes over a computer network.

If you spell out exactly the point you'd like to make, I'm pretty good at putting two and two together and reaching four, but if you write in one direction, then expect your audience to reach an entirely different conclusion, I'm afraid that ignoramouses like me are destined for a train wreck. I've seen some improvement in your posts on this front recently, and that is something to be applauded, encouraged, and continued.

#2) Use meaningful metrics in your discussions. Several of the points you have made recently have been based on meaningless metrics. Your 'point in time P/E ratio' for example, in addition to being something that I had never heard of before (and I have an MBA and 1/2 of the education requirements towards being elegible to sit for the Certified Financial Planner designation exam, along with more than five years of Fool experience), is a fundamentally flawed measure. It's a fundamentally flawed measure for the same reason that month-to-month construction numbers are fundamentally flawed measures. It completely ignores seasonality. Virtually every business has an aspect of seasonality built into it. "Back to School," "Christmas," "Spring Cleaning..." Different times of year mean different things to different businesses, and any metric that fundamentally fails to take that into account will cause people to make exactly the wrong investment decisions.

By the way, as of this writing, Google had never heard of the phrase, either. http://www.google.com/search?hl=en&ie=UTF-8&oe=UTF-8&q=%22point+in+time+P%2FE+ratio%22

If you want to be taken seriously by other investors, you have a choice with two options.
1) Use the same language and terminology as the rest of the investing community.
2) In addition to defining new terms or redefining existing ones, describe why your new usage is fundamentally superior to the rest of the world's, and have your arguements hold up against strict scrutiny.

Failure to do so will simply cause people to dismiss what otherwise may be valid points you are trying to make, regardless of your reported investing/trading performance.

===

I hope that I have communicated this post in such a way as to convey the spirit and meaning of my message. I mean you no disrespect, and I hope that I have helped you see where my confusion originates, with regards to your posts. I hope that we can discuss matters pertaining to the Economy and Markets on this board, but the only way that will have a chance of happening will be if we can establish a common ground on which to hold those discussions.

Thanks for taking the time to read this. And I look forward to the opportunity of having rational discussions with you here in the future.

-Chuck
Print the post  

Announcements

When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.